New insights into the problem of software piracy: The effects of neutralization, shame, and moral beliefs

Software piracy is a major economic concern for organizations. Previous research indicates that neutralization, a form of rationalization, can help explain software piracy intentions. However, a knowledge gap exists in our understanding of which neutralization techniques most influence software piracy intention. To address this gap, we developed a model that explains the effects of neutralization techniques on software piracy intention. We included different types of deterrents (formal sanctions, shame, and moral belief) in our model because individuals may use neutralization techniques to mitigate feelings of guilt and shame, which, subsequently, reduce the deterrent effect. Our empirical results (for 183 people surveyed) showed that appeal to higher loyalties and condemn the condemners strongly predict software piracy intentions. In addition, informal deterrents such as shame and moral beliefs are strong predictors. These findings suggest that anti‐piracy efforts should involve educational intervention aimed at addressing these two neutralization techniques rather than relying on formal sanctions.